1.

2.

Song: Old Time CalypsoRich Man Poor Man Lord Brynner

Rich man, poor man

Who says Im a poor man

Ah got plenty dough

And ah spreading joy for so!

3.

Demonstrate an understanding ofbasic personal money management skills

Practise comparative shopping for basic needs especially nutrition needs

Formulate a personal budget based on current financial resources, as a tool for meeting basic needs and proper financial management

4.

Trainees will:

List idioms and proverbs that deal with money

List everything they have spent money for today and yesterday

Track their spending for a week.

Categorise their spending into needs and wants.

5.

Define comparative shopping.

State the benefits of comparative shopping

Share their experiences of comparative shopping.

Complete numeracy questions on comparative shopping.

6.

Define budget

State who needs a budget

State the items in their budget and what percentage is allocated to each item Complete numeracy questions on percentage allocations for a budget.

Give suggestions of what would happen when income is not enough to meet budget requirements (expenditure).

Complete their personal budget.

7.

How are you currently spending your money? Have you ever taken careful note of how you spend every dollar?

Tracking your spending can reveal interesting things about yourself. What do you think those things are?

Listeverythingyou have spent money on today so far.

Listeverythingyou spent money on yesterday.

8.

From today, listeverythingyou purchase everyday (for the next week).

Put these items into two categories

A) NEEDS

B) WANTS

Item Cost Need Want 9.

Tracking your spending can reveal:

Your money wasters

Your financial priorities

Your key to future financial success

10.

What is comparative shopping?

What are the benefits of comparative shopping?

Share your experiences of comparative shopping

11.

Comparative shopping is purchasing goods and services after you have compared the prices based on their weight and quality.

Comparative shopping helps you to get the best from your dollar.

Comparative shopping means you must shop around.

12.

A man will purchase an item he needs worth $1.00, for $4.00.

A woman will purchase an item she does not need for $1.00, worth $4.00

13.

How much would Indira save by purchasing a 5 L container of oil (which costs $21.00) instead of buying 5 1L bottles (which costs $4.50 each)?

Which is cheaper 5 oranges for $15, 6 oranges for $17 or 2 oranges for $5

Which is cheaper? Beef sold @ $6.00 per Kg or@ $4.00 per lb?

14.

Types of Budgets

Personal

Family

National

Corporate

15.

What is a budget?

A budget is a financial plan of income and expenditure.

Who needs a budget?

Everyone

What items would you put in your personal or family budget?

In what percentages would you allocate your income to these items?

16.

Income

Expenditure

17.

Salary/Wages

Returns from investments

Interest

Other

18.

Housing 30%

Transportation 10%

Debt 15%

Savings 10%

Food 10%

Recreation 5%

Other 20%

Total 100%

19.

Mortgage or Rent

Utilities

Insurance (House)

Taxes (Land & Building)

Home Maintenance

20.

Car Payments

Auto Insurance

License

Maintenance

Gasoline

Parking

21.

Hire Purchase

Loans

Credit Cards

22.

Short Term

Medium Term

Long Term

Investments

23.

Groceries

Eat Outs

24.

Family Recreation

Individual Recreation

Couple Recreation

Children Recreation

Vacation

25.

Clothing

Child Care

Education

Medical Bills

Tithing

Charity

Gifts

26.

Prepare a budget using the percentage allocations for a family with an income of:

$2000.00

$5000.00

$7000.00

$10000.00

What happens in cases when the income is not enough to meet the budget requirements (expenditure)?

27.

Making Money is Pleasurable, Having Money is Difficult Jan Bann, Chairman - Bann Company

Six Steps of Financial Planning

Establish financial goals

Gather relevant data

Analyze the data

Develop a plan for achieving goals

Implement the plan

Monitor the plan

28.

Wealthis defined as the difference between total assets and total liabilities.

Assets _______________________________

Liabilities _____________________________

Financial Institutions

Banks ___________________________________

Credit Unions _____________________________

Trust Companies __________________________

Insurance Companies ______________________

Stock Exchange ___________________________

Offshore Banks ____________________________

29.

Take out savings first

A portion of the savings must be used for long term (Investments)

True savings are not for emergencies

30.

Investments refer to the accumulation of some kind of asset in hopes of getting a future return from it.

Investments can refer to:

The purchase and production of capital goods. Goods which are not consumed, but used for future production.

The buying of securities or other monetary or paper assets

31.

Estate refers to all the assets owned by an individual (esp. at time of death)

Your estate is your legacy